EX-99.1 2 tm2227468d1_ex99-1.htm EXHIBIT 99.1

Exhibit 99.1

 

• Leading, diversified music publishing and recorded music business • Frequently holds a Top 10 U . S . Market Share According to Billboard’s Publishers Quarterly • Highly accomplished, respected and award - winning platform • Led by an experienced mgmt . team of music professionals with decades of experience at major music companies INVESTOR FACT SHEET NASDAQ: RSVR | Q1’FY23 71% Publishing 29% Recording *For the period ended 6.30.22 First U.S. - based publicly traded and female - founded independent music company Since its founding in 2007 , Reservoir has grown to represent over 140 , 000 copyrights and 36 , 000 master recordings with titles dating as far back as 1900 , and hundreds of # 1 releases worldwide . RESERVOIR SNAPSHOT Q1 Financial Performance New York, NY Headquarters ~$500M Market Capitalization 64M Shares Outstanding March 31 st Fiscal Year End TTM Revenue Breakout* Overview Investor Contact: Alpha IR Group - Jackie Marcus or Alec Buchmelter - RSVR@alpha - ir.com INVESTMENT HIGHLIGHTS $54 $66 $77 $9 $14 $ 31 2020 2021 2022 - Publishing - Recorded Music & Other Revenue ($MM) $35 $47 $64 2020 2021 2022 $23 $32 $41 2020 2021 2022 Gross Profit ($MM) Free Cash Flow ($MM) FINANCIAL SUMMARY Adj. EBITDA ($MM) $32 $35 $40 2020 2021 2022 • Leading Independent Music Company with Proven Platform • Competitive Advantages & Value Enhancement Capabilities • Proven M&A Platform • Evergreen Catalog & Contemporary Hits • Growing Industry, Supported by Powerful Secular Tailwinds • Strong Growth & Operating Leverage Model INDUSTRY & RESERVOIR ORGANIC REVENUE GROWTH Industry Organic Revenue CAGR (1) Wall Street Research Q1’FY23 Q1’FY22 Revenue $24.3M $16.6M Operating Income $1.3M $0.2M Adj. EBITDA $7.4M $4.3M Growing Industry, Supported By Powerful Secular Tailwinds Reservoir Organic Revenue CAGR Fiscal 2018 - 2022 Fiscal 2018 - 2022 7% (1) 15% Reservoir Consistently Outperformed The Industry

 

 

 

 

281 NEW DEALS CONSIDERED IN FY2021 102 OFFERS MADE 36% 1 71 DEALS INTO EXCLUSIVITY 25% 1 66 DEALS CLOSED 23% 1 220+ M&A Targets in Current Pipeline as of 9/15/22 totaling $2.1B PIPELINE & DEAL FLOW $650M+ Capital Deployed since inception 2 >88 % of Acquired Gross Profit Should Fall to Adj. EBITDA 3 12% Unlevered IRR since 2007 4 1 Based on total offers made, deals into exclusivity, and deals closed as a percentage of new deals considered in FY2021, res pec tively 2. As of 06 - 30 - 22 3. For the period FY18 - FY22 4. IRR represents a net return on invested capital since inception (2007) by the majority shareholder marking the investment to mar ket upon close of SPAC merger NOTEABLE DEALS IN Q1’FY23 Matt Sorum Marley Marl Margo Price Ben Harper Dan the Automator SECULAR GROWTH DRIVERS Rise of Digital & Availability of Streaming • Digital CAGR: 14% (2010 - 20) vs. 10% (2020 - 30) Growth Of Paid Streaming Subscribers • Paid Subs CAGR: 48% (2010 - 20) vs. 11% (2020 - 30) Growth Of Streaming In Emerging Markets • EM to contribute 30% of subs by 2030 vs. mid - single digits today Expansion Of Emerging Music Monetization Platforms • TikTok, Triller, Supernatural, Roblox Increased Government Intervention • Curb piracy and improved monetization rates for content owners Recovery In Process Across Impacted Royalty Streams • Gym/Bars/Restaurants, Synch, Music Releases, Live Music RECORDED MUSIC MUSIC PUBLISHING • 140K+ Copyrights • 97% Catalog retention for over 10 years • No musical composition accounts for more than 3% of revenue • 36K+ S ound recording copyrights • 100% Ownership of Each Master Recording typically • No master recording accounts for more than 9 % of Net Label Share INVESTOR FACT SHEET NASDAQ: RSVR | Q1’FY23 1 2 3 4 5 6